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Well if you lose your phone it is basically losing your credit card and the apple watch that helps you use apple pay is not functioning the best.

The apple watch helps you use apple pay. If the apple watch is not on you it requires you to enter the password until you are wearing the watch again so it makes data more secure but things like tattoos can mess with the watches ability to detect your wrist.

What do you mean?

There are some good pros that Apple Pay has to offer like speeding up purchases but it also has some cons. For example it is not accepted every where. So it is up to you.